Bitcoin Miner Demand Is Outstripping Supply in China Market
Bitcoin’s ongoing bull run has sprung up demand for new mining equipment, putting pressure on manufacturers to produce enough machines to satiate buyers.
Huaqiang North Commercial Area, the largest mining equipment market in China has sold out its stock even the pre-ordered are postponed.
Inside Huaqiang North Commercial Area, an electronics manufacturing hub in Shenzhen, shoppers can find vendors of mining machines scattered between the fourth and sixth floors in spaces originally occupied by sellers of computer components. Demand allows vendors to sell well above the price listed on the website.
“Considering the surging price of mining machines, the clients buy mining machines as many as they could, now Antminer S17 are traded at the price of 21,000 CNY”
When asked is there any stock available, the vendor said Antminer S17 and Whatsminer has been sold out even the pre-ordered are postponed. Antminer S17, S9 and T17 have been sold out, according to Bitmain’s website.
Bitcoin address is a more intuitive indicator reflects the feverish market than hashrate. By the end of June, there were 672658 address with 38614230 blockchain wallets users. Comparing user survey data in 2017 and 2019, more than half of the people in 2019 get to know what Bitcoin is and realize t Bitcoin and blockchain are financial innovations.
“Thanks to the current bull market and low-cost electricity charges in wet season, miners can easily win money back. The profit of a mining machine can reach 50-80 CNY per day, less than 5 months will the miners win money back.”
Miner maintainer is also the beneficiary as clients doubled recently. 30-40 CNY is enough to repair the control board of a mining machine before, but now the charge reaches 80-90 CNY. Even there is only one maintenance site in a province, miners are still scrambling for.
To date, the electricity cost is relatively low during the period of wet season in China. If the electricity cost can be controlled within 0.3 CNY per kilowatt, miners can get considerable profits no matter by new or second-hand mining machines.